Answer to Question #113147 in Macroeconomics for zuks

Question

To be counted into the pool of unemployment, a person must be:
1.any age 15 years.
2.discouraged work seeker
3.economically active.
4.hired and looking for a second job.

Answer 1

To be counted into the pool of unemployment, a person of any age 15 years and above who is out of work, looking for work and willing to accept a job if one is offered.

Unemployed people are individual who are actively looking for job but unable to find a job.

1.   Any age 15 years: An individual of age 15 year is a teenage who can either be a students or person looking for a first job. But a person of 15 years and above can be categorized as legally eligible to work either skilled or unskilled job.

2.   discouraged work seeker: To be discouraged means, to be tired of looking for job, given up on job search.

A discourage work seeker cannot be categorized under unemployed because, the individual is:

Not Actively seeking to be employed;

Has not found work after a long time search for work.

He is tired of job and not willing to work anymore.

3.   economically active: this individuals cannot be classified as unemployed because they have a means of income, either through personal business, employed persons, self-employed individual, selling and buying, children and students whom being taken care by parent, e.t.c. The facts that they have a means of livelihood, they are not unemployed.

4.   hired and looking for a second job: Hired person is and individual who has a job at hand but still looking for a better one, either because the job at hand is not suitable or its temporary, or short term. These people cannot be categorized as unemployed.